The Federal High Court in Abuja has urged Dantata & Sawoe Construction Company Nigeria Limited to demonstrate seriousness in finalizing a $1.4 million settlement agreement with Zutari Consulting Nigeria Ltd over an alleged $1,257,592.83 debt linked to subcontract work on the Dangote Fertilizer Plant project in Lekki, Lagos.
Justice Mohammed Umar issued this advice on Monday while hearing the matter, emphasizing the need for swift resolution rather than prolonged litigation.
According to Nairametrics, the dispute arose from engineering consultancy services provided by Zutari, which claims it is owed over $1.2 million by Dantata & Sawoe. The disagreement was initially taken to arbitration in London, where a tribunal on April 7, 2021, ruled in favor of Zutari Consulting.
Following the arbitral award, Zutari filed a petition at the Federal High Court, Abuja (Suit No: FHC/ABJ/PET/3/2023), seeking the winding up of Dantata & Sawoe over the unpaid debt. In September 2024, the court had granted a 30-day extension to facilitate settlement discussions. However, repeated adjournments have stalled final resolution.
During Monday’s proceedings, Zutari Consulting’s lawyer, Chris Ekemezie, told the court that Dantata & Sawoe had suggested selling off property to raise funds for the settlement — an idea he claimed had been on the table for over two years without tangible progress.
This remark prompted a sharp response from Dantata & Sawoe’s counsel, I. I. Okim, who expressed embarrassment at the disclosure of private discussions in open court.
“I am thoroughly embarrassed that Counsel disclosed our private conversation here,” Okim told the court.
Justice Umar, however, advised the construction giant’s legal team to focus on resolving the matter, stressing that the debt’s value depreciates as time passes.
“The earlier you settle with them, the better,” the judge said. “The Court always encourages settlement. If you can settle out of court, there is no need for us to be here.”
He further urged Dantata & Sawoe to demonstrate genuine commitment by pursuing concrete steps toward payment rather than indefinite postponements.
The court adjourned the matter to September 22, 2025, for a Report of Settlement or further hearing.
Zutari Consulting, formerly known as Aurecon Consulting Engineering Nigeria, is an engineering firm providing design and supervisory services. The company’s petition highlights Nigeria’s evolving legal environment around enforcement of arbitral awards, especially in complex commercial disputes involving multinational projects.
Meanwhile, Dantata & Sawoe, one of Nigeria’s leading general construction firms with over four decades of experience, faces increasing pressure to clear outstanding obligations as part of efforts to maintain its corporate reputation and operational stability.
An appeal related to the arbitration award remains pending before the Court of Appeal, according to Nairametrics, which further complicates the dispute resolution.
Why it matters
The protracted legal battle underscores broader challenges around contract enforcement in Nigeria’s infrastructure and construction sector, particularly when large multinationals and local contractors are involved. Analysts say faster resolution and adherence to arbitral rulings are crucial to attracting foreign partnerships and safeguarding the confidence of technical consultants in the Nigerian market.
